Prime
Case against Church of Uganda flops
Church of Uganda Archbishop Stanley Ntagali (L) and Kampala Diocese Archbishop Cyprian Kizito Lwanga (R) address journalists at Pope Paul Memorial Centre. FILE PHOTO
What you need to know:
Mr Ronald Oyiine, the lawyer of the consultancy firm, told journalists that the mediator was indisposed even after several calls without responding thus the matter being adjourned to July 26.
The hearing of the mediation in which Church of Uganda was dragged to court by a consultancy company, Land Coin Ltd, over Shs7.3 billion has failed to kick off after the mediator not turning up with no reason.
Mr Ronald Oyiine, the lawyer of the consultancy firm, told journalists that the mediator was indisposed even after several calls without responding thus the matter being adjourned to July 26.
Land Coin Ltd in its commercial suit against Church of Uganda that it filed on April 10, contends that in April this year, the latter contracted it to carry out an investigation to recover its 15 acres of land located at old Entebbe, plot 90-102 on Sebugwawo Drive and one acre of land located at Luzira, all worth Shs48.9b from government.
In one of the attachments to the court documents dated July 7, 2015, the ArchBishop on behalf of the Trustees of Church of Uganda, wrote to Coin Land Ltd, authorizing the firm to carry out the necessary investigation of the church land in question.
The firm was also given powers of attorney to act on behalf of the church to recover this land.
Court documents also indicate that it was agreed that the parties that would carry out the investigations would be given a commission of 10 percent of the value of the land if investigations were done up to submission of the consultancy report.
It was also agreed that should extra work be done, a 15 percent commission would be paid to the consultancy firm.
To that effect, the managers of the land consultancy firm are now demanding for Shs7.3b being 15 percent of the commission it was supposed to earn upon successfully carrying out the investigations on the said church land
The consultancy firm contends that it carried out its obligations under the contractual arrangement to the satisfaction of the Trustees of Church of Uganda and that as such, they are entitled to a 15 percent commission which they have not been paid, hence the legal suit.
